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Share of direct plans in SIPs rises to 31% in three years, shows data

But their share in SIP AUM hasn't grown proportionately; 'regular' plans still dominate despite higher expense ratio

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As of August, the average AUM of SIP accounts in direct plans was Rs 57,000, against Rs 1.37 lakh in the case of regular plans

Abhishek Kumar Mumbai

3 min read Last Updated : Sep 26 2022 | 6:07 AM IST

The ‘direct’ option for investing in mutual fund (MF) schemes lag behind ‘regular’ plans, notwithstanding the cost benefit of the former. But they are fast catching up. Data released by the Association of Mutual Funds in India shows that the share of direct plans in the total active systematic investment plan (SIP) accounts has risen to 31 per cent in three years, from 20 per cent.

Every MF scheme has two options: regular and direct. Regular plans are sold by MF distributors who get commissions in exchange. Direct do-it-yourself plans require no commission to be paid to the distributor, who

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